Which method, direct or indirect, is used in the statement of cash flows?

1. List the principal sources and uses of cash for this firm.
2. Evaluate the change in cash. Has the firm generated most of its cash requirements from operations, or has it borrowed extensively? Has the firm's uses of cash been balanced between investments and dividends?
3. ---NOT REQUIRED---
4. Has the cash balance been increasing or decreasing? What seem to be the implications of this pattern of dividends?

FASTENAL Investor Overview News Releases Events & Presentations Stock Info Financial Results Governance ESG Investor Resources FASTENAL COMPANY AND SUBSIDIARIES Condensed Consolidated Statements of Cash Flows (Amounts in millions) Year Ended December 31, Three Months Ended December 31, 2022 2021 (Unaudited) 2022 (Unaudited) 2021 (Unaudited) Cash flows from operating activities: Net earnings $ 1,086.9 925.0 $ 245.6 231.2 Adjustments to reconcile net earnings to net cash provided by operating activities: Depreciation of property and equipment 165.9 159.9 42.1 40.9 Loss (gain) on sale of property and equipment Bad debt expense 1.1 (1.1) (0.1) (1.8) 2.5 (0.9) 1.7 Deferred income taxes (4.9) (13.7) (9.2) (16.0) Stock-based compensation 7.2 5.6 2.8 1.3 Amortization of intangible assets 10.7 10.8 2.6 2.7 Changes in operating assets and liabilities: Trade accounts receivable (119.8) (135.2) 103.1 47.0 G Inventories (198.0) (189.5) (21.1) (123.0)